Subject: RE: RE: RE: SF …
Posted On: March 18, 2007, 4:13 pm CDT
Posted By: care
Comment:
The policyholder was involved in a serious accident that left one dead and another disabled. State Farm refused to settle the case for the mere $50 thousand policy limit and contrary to the advice of its own adjuster, took the case to trial. The jury returned a judgment that was three times the policy limit, which personally exposed the policy holder . mONEY CAN NO LONGER WORK. THIS MOST STOP. uP UP lAW CALL THE BIG BOY SAY NO MORE
BLES. Edward B. Rust, Jr., will be happy to tell
you that he is the Chief Executive Officer of State Farm Mutual Insurance
Company. He has deep family ties to State Farm, as his father and grand father
have both served in that capacity. He will also tell you that he is an educated
man who has been to law school and is a past practicing attorney. In addition,
he was the chairman of the Coalition for Excellence in Education and a member of
George W. Bush’s transition advisory team on education. So with all of that
education why will he not deal with his company’s inbred greed. Does he not
know that we are in the 21st century where anyone can look on the internet and
see the billions of dollars that are being spent to protect their empire from
the consumer?
In Utah, the company was fine $25 million in punitive damages, in part for the
“systematic destruction of documents and systematic manipulation of individual
claim files to conceal claim mishandling”. An Idaho appeals court fined the
company $9.5 million in punitive damages for making use of “a completely bogus”
outside bill review company that helped lower the cost of medical bills. In
October of 1999, an Illinois jury rendered a $456 million judgement against
State Farm and an additional $730 million in punitive damages for the insurer’s
breach of contract with auto policy holders by relying on generic replacement
parts. Rust was adamant in his insistence that fraud had not been committed. A
class action law suit in the name of State Farm policy holders was filed in 2003
for breach of contract and statutory consumer fraud in which $1.1 billion was
awarded to plaintiffs. When a company is misleading the public, should that not
be considered fraud? A consumer would go to prison for that type of behavior.
State Farm will let you know that, in several states, fraud and abuse is
pushing up the cost of auto insurance. A court in late 2001 reached an
unfriendly consumer decision that could have the effect of reaching deep into
the pockets of the consumer. Sharply higher jury awards in vehicular liability
cases are putting additional upward pressure on auto insurance rates. The
average jury award in auto liability cases rose from $187,000 to $269,000 in
2000, an increase of 44%. I question if any of the lawsuits would be necessary
if the company would just fairly pay their claims. The company represents on
their web-site that consumer protection is one of their most important goals,
but do they really think that courts would be awarding multiple millions of
dollars in bad faith claims if that were their emphasis?
State Farm’s ratings are based on their financial strength. State Farm
states that their high ratings are also based on strong claims paying ability.
With this ability, why is it necessary for their policy holders to allege that
the claims department was directed, in evaluating their cases, to take them to
trial instead of settling within the limits of the policy? This practice
exposed policyholders to judgments above the limits of their policies, when the
company was attempting to make an effort to win smaller decisions. Two former
in-house attornies for State Farm contend that they were often called upon by
the insurer to represent its’ policy holders and were forced to commit “unlawful
and unethical activities, including requiring the two to stay silent about the
rights of the policyholders”.
State Farm seems to have reckless indifference for the truth for the
purpose of corporate and personal economic gain. State Farm should know that
continued scrutiny of their claims paying practices will continue especially
with the advent of new claims that are surfacing from lawsuits revolving around
Hurricane Katrina.
A message to Mr. Rust, and any employee of the company that is acting in bad
faith for its policy holders. Its time to stop no more. Melanie Hodges
WHAT INSURANCE COMPANIES AND MEDIA USUALLY OVERLOOK: THERE ARE TWO KINDS OF INSURANCE FRAUD: BY CLAIMANTS AND BY INSURANCE COMPANIES.
Herb Denenberg Column for September 3, 2001.
You\’ve seen the ads warning the public about insurance fraud. Some television ads show those who perpetrated this crime behind bars. There are endless organizations publicizing insurance fraud, explaining how it costs you money, and how it can be a risky crime to commit. Organizations of insurance professionals, including the Chartered Property and Casualty Underwriters, run campaigns against insurance fraud. There is even a Fraud Prevention Week in June. Insurance textbooks include a discussion of insurance fraud, and how it hurts both insurance companies and policyholders. The media produce a stream of reports on insurance frauds, with insurance companies often cooperating with the media, by producing undercover video of insurance fraud being perpetrated.
by Keith Bradsher State Farm, nation\’s largest auto insurer, having lost $456 million jury verdict, announces it will temporarily require that all crash repairs on its policyholders\’ automobiles be done with parts produced by auto manufacturers; Illinois jury decided that State Farm had breached its contract with policyholders by insisting that body shops use parts that are not factory authorized
One year ago this week, former WorldCom CEO Bernard Ebbers was sentenced to serve up to 25 years in federal prison for charges stemming from an $11 billion accounting fraud scandal that brought down his company. Headlines at the time said it was the toughest sentence yet in a string of corporate scandals.
Yet, Ebbers has yet to see the inside of a prison cell. He remains free pending his appeal. In fact, many of the men who were at the center of corporate scandals in the past few years are still free.
John Rigas, former Chairman of the cable company Adelphia, was sentenced to 15 years in prison for using $1 billion in corporate money for personal homes and a private golf course for himself and his sons.
Yet, Rigas and his son Timothy, who was sentenced to serve 20 years, both remain free pending their appeals. Brother Michael pled guilty to a lesser charge and will not serve any prison time at all, though he was sentenced to 10 months home confinement.
And then there\’s Gary Winnick, the former chairman of Global Crossings. His company\’s stock went from $60 a share to $.05 a share. Winnick\’s $734 million stock sale before the collapse of his company spawned a federal investigation. In the end, no criminal charges were ever brought against him.
Some convicted corporate crooks, however, have not been so fortunate. Former Tyco CEO Dennis Kozlowski is currently behind bars on a grand larceny and securities fraud conviction.
It remains to be seen what will happen to former Enron CEO Jeff Skilling. He was convicted on 18 counts of conspiracy and fraud and is due to be sentenced in September
Melanie
I have a hunch that this blog has helped you vent your anger and frustration. I hope so anyway. In time your claim should be settled.
As you let go remember, \”Don\’t worry about anything and pray about everything.\”
How about passing laws that put insurance representatives that committ fraud in jail, instead of just laws that prosecute consumers for fraud against insurance companies? A larger amount of the fraud committed in the insurance industry is committed by the companies against the consumer, than by consumers against the companies. If you have had problems with State Farm like SO MANY PEOPLE HAVE call 1-800-737-8537 and tell them your horror story. Call your newspapers, email your friends and tell anyone that will listen. Please pray for the people in Mississippi and all over this country that have been in a tragedy and companies like State Farm want to play with their lives. State Farm, us peons are tired of it.
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Subject: RE: RE: RE: SF …
Posted On: March 18, 2007, 4:13 pm CDT
Posted By: care
Comment:
The policyholder was involved in a serious accident that left one dead and another disabled. State Farm refused to settle the case for the mere $50 thousand policy limit and contrary to the advice of its own adjuster, took the case to trial. The jury returned a judgment that was three times the policy limit, which personally exposed the policy holder . mONEY CAN NO LONGER WORK. THIS MOST STOP. uP UP lAW CALL THE BIG BOY SAY NO MORE
BLES. Edward B. Rust, Jr., will be happy to tell
you that he is the Chief Executive Officer of State Farm Mutual Insurance
Company. He has deep family ties to State Farm, as his father and grand father
have both served in that capacity. He will also tell you that he is an educated
man who has been to law school and is a past practicing attorney. In addition,
he was the chairman of the Coalition for Excellence in Education and a member of
George W. Bush’s transition advisory team on education. So with all of that
education why will he not deal with his company’s inbred greed. Does he not
know that we are in the 21st century where anyone can look on the internet and
see the billions of dollars that are being spent to protect their empire from
the consumer?
In Utah, the company was fine $25 million in punitive damages, in part for the
“systematic destruction of documents and systematic manipulation of individual
claim files to conceal claim mishandling”. An Idaho appeals court fined the
company $9.5 million in punitive damages for making use of “a completely bogus”
outside bill review company that helped lower the cost of medical bills. In
October of 1999, an Illinois jury rendered a $456 million judgement against
State Farm and an additional $730 million in punitive damages for the insurer’s
breach of contract with auto policy holders by relying on generic replacement
parts. Rust was adamant in his insistence that fraud had not been committed. A
class action law suit in the name of State Farm policy holders was filed in 2003
for breach of contract and statutory consumer fraud in which $1.1 billion was
awarded to plaintiffs. When a company is misleading the public, should that not
be considered fraud? A consumer would go to prison for that type of behavior.
State Farm will let you know that, in several states, fraud and abuse is
pushing up the cost of auto insurance. A court in late 2001 reached an
unfriendly consumer decision that could have the effect of reaching deep into
the pockets of the consumer. Sharply higher jury awards in vehicular liability
cases are putting additional upward pressure on auto insurance rates. The
average jury award in auto liability cases rose from $187,000 to $269,000 in
2000, an increase of 44%. I question if any of the lawsuits would be necessary
if the company would just fairly pay their claims. The company represents on
their web-site that consumer protection is one of their most important goals,
but do they really think that courts would be awarding multiple millions of
dollars in bad faith claims if that were their emphasis?
State Farm’s ratings are based on their financial strength. State Farm
states that their high ratings are also based on strong claims paying ability.
With this ability, why is it necessary for their policy holders to allege that
the claims department was directed, in evaluating their cases, to take them to
trial instead of settling within the limits of the policy? This practice
exposed policyholders to judgments above the limits of their policies, when the
company was attempting to make an effort to win smaller decisions. Two former
in-house attornies for State Farm contend that they were often called upon by
the insurer to represent its’ policy holders and were forced to commit “unlawful
and unethical activities, including requiring the two to stay silent about the
rights of the policyholders”.
State Farm seems to have reckless indifference for the truth for the
purpose of corporate and personal economic gain. State Farm should know that
continued scrutiny of their claims paying practices will continue especially
with the advent of new claims that are surfacing from lawsuits revolving around
Hurricane Katrina.
A message to Mr. Rust, and any employee of the company that is acting in bad
faith for its policy holders. Its time to stop no more. Melanie Hodges
WHAT INSURANCE COMPANIES AND MEDIA USUALLY OVERLOOK: THERE ARE TWO KINDS OF INSURANCE FRAUD: BY CLAIMANTS AND BY INSURANCE COMPANIES.
Herb Denenberg Column for September 3, 2001.
You\’ve seen the ads warning the public about insurance fraud. Some television ads show those who perpetrated this crime behind bars. There are endless organizations publicizing insurance fraud, explaining how it costs you money, and how it can be a risky crime to commit. Organizations of insurance professionals, including the Chartered Property and Casualty Underwriters, run campaigns against insurance fraud. There is even a Fraud Prevention Week in June. Insurance textbooks include a discussion of insurance fraud, and how it hurts both insurance companies and policyholders. The media produce a stream of reports on insurance frauds, with insurance companies often cooperating with the media, by producing undercover video of insurance fraud being perpetrated.
by Keith Bradsher State Farm, nation\’s largest auto insurer, having lost $456 million jury verdict, announces it will temporarily require that all crash repairs on its policyholders\’ automobiles be done with parts produced by auto manufacturers; Illinois jury decided that State Farm had breached its contract with policyholders by insisting that body shops use parts that are not factory authorized
Maddy Sauer Reports:
One year ago this week, former WorldCom CEO Bernard Ebbers was sentenced to serve up to 25 years in federal prison for charges stemming from an $11 billion accounting fraud scandal that brought down his company. Headlines at the time said it was the toughest sentence yet in a string of corporate scandals.
Yet, Ebbers has yet to see the inside of a prison cell. He remains free pending his appeal. In fact, many of the men who were at the center of corporate scandals in the past few years are still free.
John Rigas, former Chairman of the cable company Adelphia, was sentenced to 15 years in prison for using $1 billion in corporate money for personal homes and a private golf course for himself and his sons.
Yet, Rigas and his son Timothy, who was sentenced to serve 20 years, both remain free pending their appeals. Brother Michael pled guilty to a lesser charge and will not serve any prison time at all, though he was sentenced to 10 months home confinement.
And then there\’s Gary Winnick, the former chairman of Global Crossings. His company\’s stock went from $60 a share to $.05 a share. Winnick\’s $734 million stock sale before the collapse of his company spawned a federal investigation. In the end, no criminal charges were ever brought against him.
Some convicted corporate crooks, however, have not been so fortunate. Former Tyco CEO Dennis Kozlowski is currently behind bars on a grand larceny and securities fraud conviction.
It remains to be seen what will happen to former Enron CEO Jeff Skilling. He was convicted on 18 counts of conspiracy and fraud and is due to be sentenced in September
Melanie
I have a hunch that this blog has helped you vent your anger and frustration. I hope so anyway. In time your claim should be settled.
As you let go remember, \”Don\’t worry about anything and pray about everything.\”
Hal thank you. Please read the Sun Herald. And pray for all the great people in Mississippi. I belive the people,s prays have been heared. Melanie
How about passing laws that put insurance representatives that committ fraud in jail, instead of just laws that prosecute consumers for fraud against insurance companies? A larger amount of the fraud committed in the insurance industry is committed by the companies against the consumer, than by consumers against the companies. If you have had problems with State Farm like SO MANY PEOPLE HAVE call 1-800-737-8537 and tell them your horror story. Call your newspapers, email your friends and tell anyone that will listen. Please pray for the people in Mississippi and all over this country that have been in a tragedy and companies like State Farm want to play with their lives. State Farm, us peons are tired of it.
IMPORTANT—I accidentally put the wrong 800 number in the last posting. The number should be 800-737-8587. Sorry Mel!
Wrong number? Looks like fraud to me.